By Charles Magoffin, Charlotte County Dems writer
How do we recover from the worst economic crash since the Great Depression? The government has spent trillions of dollars, which ultimately lands on the backs of taxpayers.
Thus far, Trump’s plan is limited to endorsing the idea of payroll-tax reductions, which could threaten Social Security. Tweets about a potential capital-gains tax cut, and vowing to extend the Tax Cuts & Jobs Act (TCJA), which went into effect in 2018 and is set to expire at the end of 2025. Overall, his message is easing taxes, mostly on the wealthy; the TCJA disproportionately benefits wealthy folks and businesses.
Biden’s plan lays out specifics; it focuses on eliminating the benefits offered by the TCJA and includes additional measures to raise federal revenue. Biden would concentrate on the top 1% of earners, those making more than $400,000 a year. He would raise taxes on ordinary income above $400,000 by returning the top marginal rate to 39.6%—where it was before the TCJA lowered it to 37%. Other tax rates would stay the same.
Comparing plans is problematic since Trump has not issued a plan beyond a desire to make the TCJA permanent. Under Biden’s plan, the top 1% of earners would bear the biggest brunt, with a 7.8% decrease in after-tax income, followed by the top 5% with a 1.1% hit, according to the Tax Foundation. Other individuals would see an average 0.6% reduction in after-tax income. Look at all the facts about Biden’s Tax polices! Yes, economic recovery and its effects on your taxes should be a hot button, but let’s get the facts straight.
If economic recovery and taxpayer implications are important to you, vote Democrats up and down the ballot! Do it by ‘Vote-by-mail,’ do it by voting early, or do it on November 3. YOU must do it, and YOU must make your vote count! Here’s how YOU do it!Image Credits: CCDems